N.Y. Insurance Law § 7702: Purpose

§ 7702. Purpose. The purpose of this article is to provide funds to

protect policy owners, insureds, health care providers, beneficiaries,

annuitants, payees and assignees of life insurance policies, health

insurance policies, annuity contracts, funding agreements and

supplemental contracts issued by life insurance companies, health

insurance companies, and property/casualty insurance companies, subject

to certain limitations, against failure in the performance of

contractual obligations due to the impairment or insolvency of the

insurer issuing such policies, contracts, or funding agreements. In the

judgment of the legislature, the foregoing objects and purposes not

being capable of accomplishment by a corporation created under general

laws, the creation of a not-for-profit corporation of insurers is

provided for by this article to enable the guarantee of payment of

benefits and of continuation of coverages, and members of the

corporation are subject to assessment to carry out the purposes of this

article.